Acquiring new customers may seem like the best approach to getting more revenue. However, what can be even more effective is retaining existing customers.
There are plenty of reasons to focus on retaining the customers who have already purchased from you. It’s much cheaper to focus on customer retention than attracting new customers, they are more likely to spend more with your brand, and returning even a fraction of your customers can double or even triple your sales.
You may have already developed an abandoned cart sequence to bring in lost sales. But, there many more customer retention strategies that you can take advantage of.
9 Customer Retention Strategies
Customer retention strategies that focus on providing increased value to your customers which would build brand loyalty and give them more reasons to repeatedly purchase from you.
Below are a few customer retention strategies that you can try.
1. Inspire Your Audience with Your Mission
A popular British-American motivational speaker, consultant, and author Simon Sinek once said: “People don’t buy what you do, but why you do it.” The speech has amassed millions of views and for a good reason.
It makes sense.
Make a list of your favorite brands and think why you follow them and choose them over their competitors. Is that just an exceptionally good product? Or is it something else? Chances are that it’s both. However, adding a mission to your brand will enable your customers to connect with you in the process.
How can you do that?
First, define what is essential in your specific industry. Is that convenience, sustainability, quality, or something else? How can your product improve the world and the lives of your customers?
Once you define that, center the mission of your e-commerce business around it, use it in your advertising, and whenever you represent your brand, develop content, or speak to your customers.
2. Personalize Your Approach
Develop your content so that it is obvious that there is a real person behind your brand. That is not only going to build trust and a closer relationship with your audience but also do much better with social media and Google algorithms.
3. Converse with Your Customers
In this day and age, social presence is important for the growth of your e-commerce brand. However, don’t just post things on social media and forget about them. Engage with your customer and talk to them. Ask questions or their opinion on your products, topics that are important for them and similar.
This will enable you to create a more personalized experience and build trust. Customers who like you and trust you will be more likely to buy from you.
Moreover, social media algorithms favor content that generates engagement. The more people engage with your posts, the more people will be able to see your content.
4. Provide Educational Content
One of the most effective customer retention strategies is developing educational content. At an age when buyers are bombarded with all kinds of ads, they don’t want to be told what to do. They want to make their own choices. And they want to learn.
The best approach to provide educational content is by setting up a blog. Empower your customers with the knowledge they need to solve their problems by themselves. By repeatedly coming to your e-commerce store’s website, they will be more likely to trust you and your brand.
5. Simplify Customer Experience
One of the main reasons why customers abandon their carts is a complicated checkout process. You don’t want to build a relationship with potential buyers only to lose them because buying from you takes too many steps.
Make sure that everything on your site is easy to access and does not involve many complicated steps.
6. Introduce a Referral or an Affiliate Program
Every satisfied customer has friends, family members, colleagues, or followers who may be interested in your products as well. So, use that to your advantage. Start an affiliate program and create a win-win situation by offering your customers a commission or other benefits for making you more sales.
7. Consider a Subscription Program
Subscription programs are one of customer retention strategies that may not work for all brands, but they can be extremely effective in generating more sales. And for a good reason. They are convenient and provide customers with the products they need without much effort.
8. Show Your Customers that They Matter
Your customers are the reason why you and your business can thrive. Don’t be afraid to let them know. Show appreciation to your customers and thank them for choosing to trust you. Celebrate milestones such as reaching a certain number of social media followers and organize giveaways. Your customers will be more likely to stay with you if they feel valued and appreciated.
9. Correct Your Mistakes
We are all human and we all make mistakes. As an e-commerce store owner, you too are not immune to mistakes. If you make any, don’t try to cover them up but make sure to go above and beyond to correct them, especially if you utilize platforms such as Amazon to sell your products.
Even if your customers can be extremely dissatisfied, disappointed, or even angry, the way you handle the situation can determine whether they stay with your brand or go to a competitor next. Therefore, always apologize, correct your mistake, and offer something extra such as a discount code for their next purchase or an additional product or an accessory.
Which Customer Retention Strategies Should You Choose?
Well, that depends completely on you and your business. Yet, the most effective approach would be using a combination of a few strategies. If that sounds intimidating, start small. Choose one and slowly integrate that into your business plan. When you feel confident to take an extra step, repeat the process with another strategy.
And don’t forget to let us know how it goes!
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